Bessent Seeks Answers Within 10 Days as Calls Grow for Huang to Return to Nvidia
Key Facts
U.S. Treasury Secretary Scott Bessent called on Nvidia’s board and its outside legal counsel to provide answers within the next 10 days, as speculation continues over the company’s leadership following Jensen Huang’s resignation. Bessent said on Nov. 15 that the search for a new CEO should include a candidate from outside the company. Separately, Reuters reported that some Nvidia employees pushed for Huang’s return, citing a report on an internal post and correspondence reviewed by Wired. The company has not confirmed any formal effort to bring him back; what it has officially announced is the start of a search for a permanent CEO. That puts the leadership transition under pressure from political demands and signs of divided opinion within the company.
According to Wired, an internal post urging the board to consider employees’ feelings about the former CEO drew more than 1,600 comments, most of them supporting his return. The calls are coming from within a company that Reuters said has about 42,000 employees worldwide, placing the debate in the context of a large workforce in which calls for his return have emerged. But the post does not change the company’s officially announced selection process or establish that Huang is considering a return. Huang resigned as president and CEO and from the board, effective immediately, on Nov. 12, according to an Nvidia statement. The resignation statement did not give a reason.
Nvidia said its board had begun a search for a permanent CEO and would consider candidates from inside and outside the company. Reuters reported that the board had contacted Arm CEO Rene Haas as part of its search for a potential successor, but quoted the company as saying the board had not formally contacted any candidate. The board also said it was still selecting an executive search firm and described speculation about specific names as premature. In a move related to the transition, the board appointed Harvey C. Jones as its first chairman. Colette Kress, the chief financial officer, remains interim CEO until a permanent successor is appointed, according to the company’s announcement.
Bessent said the board and outside legal counsel should provide answers within the next 10 days, and said the search for the new leader should not be limited to candidates from within Nvidia. His call follows an invitation by Senate Banking Committee Chairman Tim Scott for Huang and Commerce Secretary Howard Lutnick to testify before the committee the following month. Reuters quoted two people familiar with the matter as saying Huang had an intimate relationship with a second employee at the company; these are allegations not established by the resignation announcement. Reuters reported that the company had made no comment beyond its resignation statement. The CEO search debate thus intersects with political and regulatory questions about the company, without any of them resolving the appointment process.
Nvidia shares closed down 4.3% on Thursday, Nov. 12, before recovering 1% in after-hours trading, Reuters reported. In Friday’s session, Nov. 13, the stock ended down about 2%, and Reuters estimated the week’s market-cap losses at about $573 billion. According to EL7 data, the closing price was $162.85 a share on Nov. 13. By contrast, the Associated Press said shares of competitors including Broadcom, Intel and AMD rose on Thursday after Huang’s departure, amid investor expectations that the companies would diversify their customers among chip suppliers. The moves in competitors’ shares and Nvidia stock provide immediate market context for the transition, but do not determine the outcome of the search for a permanent CEO.
A boom in demand for AI computing had driven Nvidia shares up sevenfold through early October, and the company’s market capitalization at one point reached nearly $6 trillion, Reuters reported. In March, Huang estimated that the company’s accumulated chip orders could reach $1 trillion by year-end, according to the Associated Press. Against this backdrop, the leadership transition matters to investors tracking the company’s ability to keep meeting demand, alongside its sales trajectory amid export restrictions. The Associated Press said concerns that tighter U.S. chip controls could prompt Chinese AI companies to accelerate efforts to secure computing capacity abroad. This is market and industry background, not an announcement of a change in Nvidia policy or a forecast of a financial result.
Nvidia is scheduled to report third-quarter fiscal 2027 results on Nov. 17, with the conference call starting at 2 p.m. Pacific time, according to the company’s investor relations department. The quarter ended on Oct. 25, making the results the first near-term opportunity for investors to review the period’s financial performance after the transition announcement. Kress, as interim CEO, will lead the company until a permanent successor is named, while the board says it is continuing its search. The company’s results date remains set, while the board has yet to announce the name of a permanent CEO. Investors are also expected to watch for any official update on the search process and the deadline by which Bessent called for answers.